Portugal Sets New Stimulus After Setback

Government Proposes Lower Corporate Taxes and Other Business-Friendly Measures Even as Potential New Costs Arise

By

Patricia Kowsmann

April 23, 2013 4:47 p.m. ET

LISBON—Portugal unveiled an ambitious stimulus program on Tuesday to resuscitate its economy despite new concerns about some public companies that could hit the government's budget plans.

Economy Minister Álvaro Santos Pereira said the government will aim to cut the corporate tax rate, provide incentives for foreign companies to move to Portugal, tackle a highly bureaucratic system that hurts investments and offer financing for small-...